Table of contents

1. Introduction to Accounting1h 21m
2. Transaction Analysis1h 13m
3. Accrual Accounting Concepts2h 38m
4. Merchandising Operations2h 30m
5. Inventory1h 55m
6. Internal Controls and Reporting Cash1h 16m
7. Receivables and Investments3h 8m
8. Long Lived Assets5h 1m
9. Current Liabilities2h 19m
10. Time Value of Money1h 23m
- Time Value of Money Equations
  35m
- Using Time Value of Money Tables
  47m
11. Long Term Liabilities2h 45m
12. Stockholders' Equity2h 15m
13. Statement of Cash Flows2h 24m
14. Financial Statement Analysis5h 25m
15. GAAP vs IFRS56m

6. Internal Controls and Reporting Cash

Fraud and the Fraud Triangle

Financial Accounting

6. Internal Controls and Reporting Cash

Fraud and the Fraud Triangle

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Multiple Choice

Most of the disadvantages of interviewing in the context of fraud investigations are best described as which of the following?

Interviews are the most cost-effective method for detecting fraud.

Interviews can be subjective and may lead to biased or unreliable information.

Interviews always guarantee a confession from the suspect.

Interviews eliminate the need for any other evidence in a fraud investigation.

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Verified step by step guidance

Understand the context of the question: It is asking about the disadvantages of interviews in fraud investigations, so focus on the limitations of interviews as a method.

Analyze each option provided: Evaluate whether each statement accurately describes a disadvantage of interviews in fraud investigations.

Option 1: 'Interviews are the most cost-effective method for detecting fraud.' This is not a disadvantage but rather a potential advantage, so it can be eliminated.

Option 3: 'Interviews always guarantee a confession from the suspect.' This is incorrect because interviews do not guarantee confessions; they depend on the suspect's willingness to cooperate.

Option 4: 'Interviews eliminate the need for any other evidence in a fraud investigation.' This is also incorrect because interviews are typically used in conjunction with other evidence, not as a standalone method. The correct answer is Option 2: 'Interviews can be subjective and may lead to biased or unreliable information,' as this highlights a genuine disadvantage of interviews in fraud investigations.